TIDMMILA
RNS Number : 7020P
Mila Resources PLC
11 October 2023
Certain information contained within this Announcement is deemed
by the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as applied in
the United Kingdom. Upon publication of this Announcement, this
information is now considered to be in the public domain.
Mila Resources Plc / Index: LSE / Epic: MILA / Sector: Natural
Resources
11 October 2023
Mila Resources Plc
("Mila" or "the Company")
Liontown Lithium JV Update & RC Drilling Programme
Results
Mila Resources Plc (LSE:MILA), the post-discovery exploration
accelerator, is pleased to update shareholders on progress with
Liontown Resources Limited (ASX:LTR) ("Liontown") regarding its
arrangements to enter into a joint venture ("JV") and assay results
from the recent RC drilling programme at the Company's Kathleen
Valley Gold Project in Western Australia ('Kathleen Valley' or the
'Project').
Overview
-- Good progress being made with Liontown to commence its phased work on the JV.
-- Work is now well underway with Liontown to source water and
secure heritage survey clearances ahead of exploration work
including soil sampling and trenching at target areas.
-- Liontown lithium exploration work is planned in the
northwest, northeast and central areas of Kathleen Valley.
-- Recent assays from the six-hole reverse circulation ('RC')
programme completed in late June 2023 for 820m uncovered critical
structural features and supergene mineralisation that provides
further indications of the Project's mineralisation potential
width.
Mark Stephenson, Executive Chairman of Mila commented: "Since
securing our recent funding, we are excited to have kicked off
several key preliminary work streams with Liontown ahead of the
lithium exploration programme. We are very fortunate, as a junior
exploration company, to be surrounded by leading mining groups in
Australia and having the opportunity to work with and harness the
expertise of a multi-billion-dollar mining company. The required
social and environmental work is now underway in earnest and once
completed it will allow Liontown to begin its exploration work
targeting lithium mineralisation in the northwest, northeast and
central areas of the Project where pegmatite swarms are evident
that may be part of the same mineralisation corridor as Liontown,
immediately to the North of our project.
"Separately, on the gold exploration, the recent assays from our
relatively limited drilling programme have helped us to better
understand the direction and diameters of the gold mineralisation
at the Project. These suggest that the gold is focused, aiding our
understanding of the structure. We embarked on this drilling
campaign to understand the structure of the orebody and each drill
hole provides further intelligence to prove up our geological model
that it is highly structured, featuring concentrated zones of
high-grade mineralisation."
JV arrangements with Liontown
The Company and Liontown have held a number of meetings to
establish a critical path towards commencing lithium exploration at
Kathleen Valley. Due to a scarcity of water within the region and
as part of the preliminary work programme, Liontown will sink a
number of drill holes to test for water imminently. This is with a
view to securing future water supply for its forthcoming mining
operations at its significant Kathleen Valley Lithium Mine, due to
commence production in mid-2024.
Liontown has identified several lithium targets in the northern
and central areas of the Project, which coincide with the gold
target areas previously identified by Mila (Figures 1 & 2).
Mila and Liontown are working jointly on conducting Heritage
Surveys across these areas. Under the JV, Mila will be able to
access and conduct gold and base metal test work from the drilling
core provided by Liontown drill programme. The board of Mila
expects that this will significantly reduce the overall cost and
timeframe of Mila's exploration activities within the coincident
areas.
Liontown is also planning extensive low impact soil geochemistry
and surface geophysical surveys over the Project and is in
discussions with The Tjiwarl Aboriginal Corporation ("TAC"), the
traditional land owners, to ensure that it avoids any sensitive
heritage areas. This work should provide further data to complement
the soils work previously conducted by Mila, which identified the
northern and central gold targets (Figure 2) and allow geochemical
analysis in untested areas within the Licence area. Further
progress updates will be provided in due course.
ASX code Company Name
BGL Bellevue Gold
--------------
LTR Liontown
--------------
IGO IGO Group
--------------
BHP BHP Group
--------------
Figure 1: Kathleen Valley regional geology map showing the
north-south corridor of Liontown mapped pegmatite swarms (magenta),
mine sites (red) and tenure holding outlines. Liontown's main areas
of pegmatite focus are highlighted by yellow circles and the water
search areas are highlighted in light blue.
Figure 2: Kathleen Valley local geology map showing LTR mapped
pegmatite swarms and Mila's gold anomaly target areas defined by
auger soil sampling.
Gold Drilling results
The recent drilling of six reverse circulation ("RC") holes for
a total of 820m in June 2023 was undertaken to test and assess the
resource by stepping out into a previously untested northwestern
border. The drilling campaign has uncovered structural features and
supergene mineralisation providing further indications of the
Project's mineralisation potential. These findings will be
integrated into a comprehensive geological-structural review of the
property, which should reduce the exploration risk associated with
further work on the property.
Two drill lines were completed testing the strike extent of
mineralisation 50m and 100m along strike to the northwest where it
was open and untested (Figure 3). A best assay intersection of 4m
at 0.36 g/t Au from 36-40m depth was returned from KVRC0044 (Figure
4). This intersection sits high up in the drill hole and is most
likely associated with supergene mineralisation from the Coffey
system or potentially a second nearby system. Further work is
required to identify the source of this supergene anomaly.
The drilling campaigns have revealed critical insights about the
Kathleen Valley Gold project, in particular that it is
characterised by a highly structured orebody featuring concentrated
zones of high-grade mineralisation shoots (notably 6.6m at 14.9 g/t
gold and 10.0m at 8.38 g/ t gold) within a sulphide bearing shear
structure (Figure 4).
Figure 3: Drill hole plan showing gold intersection (red bars)
and silver intersections (grey bars) on drill hole traces. The
Coffey Deposit mineralisation is outlined (yellow) as well as the
defined positions of the DHEM and FLEM geophysical plates. The
recent assay returned from KVRC0044 is shown in the north of the
map.
Figure 4: Cross Section through the core of the Coffey Deposit
showing high-grade gold & silver intersections (red) within the
mineralisation outline (yellow).
**ENDS**
For more information visit www.milaresources.com or contact:
Mark Stephenson info@milaresources.com
Mila Resources Plc
Jonathan Evans
Tavira Financial Limited +44 (0) 20 7100 5100
-----------------------
Nick Emerson
SI Capital +44 (0) 20 3143 0600
-----------------------
Damon Heath
Shard Capital +44 (0) 20 3971 7000
-----------------------
Susie Geliher
St Brides Partners Limited +44 (0) 20 7236 1177
-----------------------
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCGPGGCUUPWGBU
(END) Dow Jones Newswires
October 11, 2023 02:00 ET (06:00 GMT)
Mila Resources (LSE:MILA)
Historical Stock Chart
From Mar 2024 to Apr 2024
Mila Resources (LSE:MILA)
Historical Stock Chart
From Apr 2023 to Apr 2024
